January 1, 2019
The BVI Economic Substance (Companies and Limited Partnerships) Act, 2018 became effective from 1 January 2019 and BVI company doing specific business activities would be required to engage employee in BVI.
FAQ - Economic Substance (BVI)
>>Simplified<<
What is Economic Substance?
A BVI Company that engages in one or more of the Relevant Activities would be required to maintain an appropriate level of economic substance like hire people or rent an office in the BVI.
What are the "Relevant Activities"?
Holding company
Banking business
Distribution and service center
Finance and leasing
Fund management
Headquarter business
Insurance business
Intellectual property (IP) holding
Shipping business
What is "Holding Business"?
A company that carries out no relevant activity other than holding or managing equity participations, and which earns passive revenues from dividends, distributions, capital gains and other incidental income only
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